ETH/USD finally managed to close above the major trend line resistance on Monday and is currently hovering around the psychological level of 8.50 (Kraken).

Ichimoku analysis (Daily chart):

Tenkan-Sen: 7.78

Kijun-Sen: 7.95

Trend reversal: 9.33 (90-EMA)

On the upside, the pair is facing strong resistance at 8.56 levels (December 29 high) and has been trying to break above this level. A decisive break above 8.64 (55-EMA) would target 8.94 (161.8% retracement of 8.56 and 7.94). Bullishness in the pair could be confirmed if it breaks above 9.33 (90 EMA).

Momentum studies suggest slightly bullish trend in the short-term – RSI(14) is at 57 and the bullish crossover of 10-DMA and 21-DMA.

On the flip side, the pair is likely to find support at 8.05 (7-EMA) and a break below would drag it to 7.78 (21-DMA)/7.50.